XML 27 R15.htm IDEA: XBRL DOCUMENT v3.21.2
Goodwill, Service Contracts and Other Assets
 3 Months Ended
Aug. 31, 2021
Goodwill, Service Contracts And Other Assets [Abstract]  
Goodwill, Service Contracts and Other Assets Goodwill, Service Contracts and Other Assets
Changes in the carrying amount of goodwill and service contracts for the three months ended August 31, 2021, by reportable operating segment and All Other, are as follows:
Goodwill
(in thousands)
Uniform Rental
 and Facility Services		First Aid
 and Safety Services		All
Other 		Total
Balance as of June 1, 2021$2,547,510 $248,571 $116,988 $2,913,069 
Goodwill acquired24,512 — 41 24,553 
Foreign currency translation(11,565)(1,024)(40)(12,629)
Balance as of August 31, 2021$2,560,457 $247,547 $116,989 $2,924,993 

Service Contracts
(in thousands)
Uniform Rental
 and Facility Services		First Aid
 and Safety Services		All
Other 		Total
Balance as of June 1, 2021$369,141 $18,294 $21,010 $408,445 
Service contracts acquired12,807 — 53 12,860 
Service contracts amortization(12,380)(991)(1,190)(14,561)
Foreign currency translation(2,637)(125)— (2,762)
Balance as of August 31, 2021$366,931 $17,178 $19,873 $403,982 
Information regarding Cintas’ service contracts and other assets is as follows:

 As of August 31, 2021As of May 31, 2021
(In thousands)Carrying
Amount		Accumulated
Amortization		NetCarrying
Amount		Accumulated
Amortization		Net
Service contracts$969,728 $565,746 $403,982 $961,942 $553,497 $408,445 
Capitalized contract
   costs (1)
$480,535 $253,298 $227,237 $459,079 $231,940 $227,139 
Noncompete and
   consulting agreements		45,783 42,601 3,182 44,683 42,408 2,275 
Other89,293 24,393 64,900 105,371 24,371 81,000 
Total other assets$615,611 $320,292 $295,319 $609,133 $298,719 $310,414 
(1)    The current portion of capitalized contract costs, included in prepaid expenses and other current assets on the consolidated condensed balance sheets as of August 31, 2021 and May 31, 2021, is $80.2 million and $79.4 million, respectively.

Amortization expense for service contracts and other assets was $36.5 million and $35.1 million for the three months ended August 31, 2021 and 2020, respectively. These expenses are recorded in selling and administrative expenses on the consolidated condensed statements of income. As of August 31, 2021, the estimated future amortization expense for service contracts and other assets, excluding any future acquisitions and commissions to be earned, is as follows:
Fiscal Year (In thousands)
2022 (remaining nine months)
$104,871 
2023122,464 
2024110,029 
202596,113 
202679,013 
Thereafter204,245 
Total future amortization expense$716,735